Sunteck Realty Q1 net down 42% on year, new bookings up 69%

During the quarter, the company recorded 69% on-year jump in new bookings at Rs 127.8 crore, while collections also rose 49% from a year ago to Rs 130.5 croreKailash Babar | ET Bureau | August 10, 2017, 16:16 IST

MUMBAI: Realty developer Sunteck Realty has reported 42% on-year decline in consolidated net profit at Rs 35.2 crore for the quarter ended June. Total revenue for the quarter also registered a 75% drop at Rs 133.4 crore, the company said in a release.

During the quarter, the company recorded 69% on-year jump in new bookings at Rs 127.8 crore, while collections also rose 49% from a year ago to Rs 130.5 crore.

“The first quarter of FY2018 has witnessed profound regulatory changes taking shape such as RERA and GST… We believe these reforms are setting the stage for sustainable growth for organized developers. In addition, we continue to selectively evaluate prospects in the mid-income value housing space, given the government’s thrust on housing for all,” said Kamal Khetan, Chairman and Managing Director, Sunteck Realty.

According to Khetan, the company’s projects in Bandra-Kurla Complex are witnessing good latent demand given the completed status and increasing habitation of these projects.

At Oshiwara District Centre (ODC), Goregaon West, the company has completed the master planning for the Sunteck City Avenue 3 project and preparing to launch going ahead. The location has witnessed significant improvement in infrastructure in recent times such as two east-west connecting flyovers and the Ram Mandir station becoming operational, Khetan added.

RELATED

Legal remedies available to homebuyers against builders for unfair practices adopted

Currently, the Goods and Services Tax (GST) is levied at 12 per cent on payments made for under-construction property or ready-to-move-in flats where completion certificate has not been issued at the time of sale.